Billionaire investor Carl Icahn is still at odds with his former protégé Mark Rachesky over the sale of Navistar to Volkswagen, according to the New York Post. Icahn and Rachesky are both board members of Navistar.
Carl Icahn is ready to accept a $50 a share offer from Volkswagen for Navistar. This would give the truck maker a valuation of $5 billion, reports The Post. This is almost double the $2.9 billion, $35 per share of Navistar stock, offer made just a few weeks ago. But it is still less than the $70 a share that Mark Rachesky wants. And Volkswagen has only raised its offer to $43 a share.
According to Bloomberg, Volkswagen already owns a 16.7 percent stake in Navistar and is the company’s second-largest shareholder. The next largest shareholders in Navistar are Carl Icahn and Mark Rachesky at about 16% each.
But there are other board members who get a vote so these two men will have to convince them of their positions. “Rachesky has the utmost confidence in Troy’s [Navistar Executive Chairman Troy Clarke} ability to maximize value for Navistar shareholders and get board approval irrespective of Icahn’s views,” a person familiar with the deal told the NY Post.
Navistar boasts that it offers one of the world’s premier and most trusted truck brands. International Truck offers state-of-the-art performance and solutions for a variety of global markets. International Truck, the flagship vehicle brand, is supported by the industry’s largest dealer network and offers a complete lineup of integrated vehicles.
The company also makes school buses. Its IC Bus is a leader in passenger protection, chassis design, engines, and ergonomics. Navistar states that every IC Bus is sold, serviced, and supported through a renowned dealer network that delivers a trusted customer program that handles parts, training, service, and more.